Agency Management

Your nonprofit has a history of funding from a variety of foundations, a few local businesses, maybe a special-purpose state grant. Congratulations. Now a new person takes the proposal writer’s chair, it’s time for reports and renewals, so the newbie asks the basic questions: “Did we get a grant from the XYZ Foundation? How much? When? Who did we work with over there?”

If your organization applies for Federal funding, you’ve gotten to know the commercial data firm Dun & Bradstreet—more specifically its unique numeric identifier called the DUNS number. Your organization probably has (or had) a DUNS number, along with 300 million others, so the Feds could tell exactly which agency or organization you are.

One of the most important elements in a persuasive proposal is the “qualifications and credentials” of the organization and its people who will actually carry out the work. It’s also one of the easiest to get wrong, or just wrong enough to derail the application. These are some of the mistakes nonprofits have made and some ways to avoid them.

The scenario may go like this: A funding source issues an announcement soliciting grant proposals. The focus of the funding source may be only marginally related to the organization's mission. Despite this, the lure of money becomes irresistible.

It’s not uncommon: a nonprofit’s program staff or its executive director get excited about funding opportunities and ask the proposal writer or development people “put something together and go after that grant! The XYZ Foundation says it’s interested in what we do, there’s a deadline coming up in a week, so write it up and submit it.”

Much has been said about a nonprofit’s need for evaluation and accountability. Donors want to know what their money has produced. Nonprofits need to care a lot about their work AND count the things that tell them the work is producing results. How to balance head and heart?

Traditionally, it wasn't the norm to think in business terms about your nonprofit but it’s a useful exercise because it sharpens your thinking about what you do and how you do it. One element of this kind of thinking is to consider competition—what other agencies or groups or community organizations are working on the same issues, addressing the same problems? This can be an uncomfortable question but what you learn can be valuable in program planning and in submitting proposals.

MYTH: If I give a building, vehicle, computer, book I wrote, or whatever to the nonprofit and later close the nonprofit, I can just change the copyright, deed, or title back into my name again, or take the property back.

MYTH: I can use the money for my nonprofit for anything I want.